Create Path Type with the Text On Custom Path Tool
If you want to create your own path or shape as the basis for your type, this new Photoshop Elements 10 tool is for you.
Open the Editor and choose Full Photo Edit mode.
Open an image or create a new, blank Elements file.
Select the Text On Custom Path tool from the Tools panel, or press T or Shift+T.
Drag your tool over the image to create the custom path of your choice.
Refine your path by selecting the Refine Path option in the Options bar. Drag the anchor points or path segments with the tool to get your desired shape.
You can also transform your custom path by choosing Image→Transform Shape.
You can specify additional options, which are common to all of the type tools.
Position your mouse over the path, and when the cursor icon changes to an I-beam (capital letter I with a crooked line crossing over), click on the path and type your text.
The text wraps along the shape’s path.
If you type more text than can fit on the path, an overflow icon appears.
When you’re done entering your text, click the Commit icon.
Elements creates a new type layer. You can edit any attributes, such as font and size, just as you can with point or paragraph text.
To create a new custom path, select the background layer and begin again.